Telsey Advisory Cuts Price Target On This Sporting Goods Maker- Read Why - Dick's Sporting Goods (NYSE:DKS)

Telsey Advisory Group analyst Joseph Feldman lowered the price target on Dick's Sporting Goods Inc DKS to $125 (65% upside) from $153 and kept an Outperform rating on the shares.
The analyst expects DKS to have a challenging Q1 as it faces a shift in consumer spending away from discretionary categories, elevated freight costs, and higher wages.
Meanwhile, Feldman thinks DKS benefits from the strong demand for fitness & outdoor equipment and athletic apparel & footwear as team sports return and consumers prioritize healthy lifestyles, outdoor activities, and comfortable attire.
He maintains a 1Q22 EPS estimate of $2.33 and expects the operating margin to contract 475 bps to 11.6%, given higher supply chain costs and promotions.
Price Action: DKS shares are trading lower by 2.53% at $75.56 on the last check Monday.